Premium Essay

Cineplex Entertainment

In: Business and Management

Submitted By fahdabbasi
Words 1478
Pages 6
CUSTOMER RELATIONSHIP MANAGEMENT
ASSIGNMENT
CINEPLEX ENTERTAINMENT: THE LOYALTY PROGRAM

SUBMITTED BY:
FAHD AHMAD ABBASI
(2010-NUST-EMBA-17)

NUST BUSINESS SCHOOL
NATIONAL UNIVERSITY OF SCIENCES AND TECHNOLOGY
Date: 27th November, 2011

INTRODUCTION

Based on the “Cineplex Entertainment : The Loyalty Program” Case Study the following question needed to be answered: Question No. 03: What is the likely increase in Cineplex Entertainment Revenue from your proposed Incentive Program @ 0%, 5%, 10%, 15% or 20%. What would be the varying Financial Consequences for Complex? Would you proceed with the reward program?
Based on the Information in the Case Study an Incremental Analysis for expected Revenues and Expenses is done which intern provides the expected profits of different Options of Loyalty Programs being considered.
The Incentive Program chosen for analyzing the case is “Internal Development”.

ANALYSIS

The given information regarding the Attendance and Revenues is as follows: Revenues | Year | 2006 | 2005 | 2004 | Box Office Revenue | - | 308,673,000 | 209,440,000 | Concessions Revenue | - | 137,323,000 | 85,423,000 | Other Revenue | - | 44,303,000 | 20,923,000 | Attendance | 61,000,000 | 39,945,000 | 28,096,000 | Total Revenue | - | 530,244,000 | 343,882,000 | Box Office Revenue per Patron | - | 7.73 | 7.45 | Concessions Revenue per Patron | - | 3.44 | 3.04 |

Based on this information The Incremental Attendance is Calculated and then Cannibalization Rate is incorporated to find out the Incremental Attendance with the Cannibalization Rate of 12.5, 25 and 50% respectively.

Attendance | Year | | 2006 (E) | 2005 | Attendance | | 61,000,000 | 39,945,000 | Incremental Attendance | | 21,055,000 | | Attendance with Cannibalization Rate | Cannibalization Rate | Incremental Attendance

Similar Documents

Premium Essay

Cineplex

...CINEPLEX ENTERTAINMENT : THE LOYALTY PROGRAM CASE SUMMARY Sarah Lewthwaite, Marketing Director for Cineplex Entertainment was asked to resume the development of a loyalty program, following the recent issue mentioning the inconsistent revenue to be achieved each year. The CEO wanted to increase and stabilize the revenue, Lewthwaite was expected to present her recommendation to the Loyalty Steering Committee in regards with the program development, the reward structure, and the type of promotional campaign considered most effective under the existing budget constraints. Another question was that Lewthwaite should consider deeply whether to launch the program regionally or nationally. Founded in 1979 as a movie theatre company, its mission since the very beginning was focused in offering an exceptional entertainment experience towards movie-goers. Thus, the customers could enjoy the experience of having meal oi snack ar various branded concession counters or, playing in the arcade. Following the growth as it grew substantially, Cineplex faced variable attendance level depending on the crop of new movies. The rating of Revenue Per Guest (RPG) that is utilized as a prime measurement towards Cineplex’s achievement fluctuated in accordance with the film genre presented. As the executives found out, the audiences for action-themed and children’s movies purchased a high volume of concession items which typically resulted higher RPG than dramas. From the pattern discovered, they were...

Words: 885 - Pages: 4

Premium Essay

Amc Entertainment

...The Buyout of AMC Entertainment Private Equity & Leveraged Buyout November 30, 2009 FI 8320 – Corporate Finance Strategy Kevin Mullally Aaron Nowak Regina Ordonez Joel Pierce Jeff Smith The Buyout of AMC Entertainment Table of Contents Executive Summary....................................................................................................................................... 1 The Market for LBOs ..................................................................................................................................... 2 LBOs in the Movie Industry ........................................................................................................................... 3 JPMP and AMCE ............................................................................................................................................ 3 Transaction Risks........................................................................................................................................... 4 The Buyout Proposal ..................................................................................................................................... 4 Conclusion ..................................................................................................................................................... 5 Appendix A: Top 10 US. Theater Circuits (as of June 1st, 2004) .................................................................... 6 Appendix B: Industry...

Words: 4846 - Pages: 20

Free Essay

Cineplex

...Nathan Taylor formed Cineplex. From early on Cineplex saw itself as a niche player. They used small screens to show specialty movies and they employed this strategy not to challenge major chains, but to compliment them. Cineplex did well primarily because of their concept for carefully planned use of shared facilities. With this success they began to expand across Canada with a very rapid rate of expansion. During this expansion however they amassed a 21 million-dollar debt. Also, distributors became reluctant to supply Cineplex for fear of alienating the two largest Canadian chains. In 1983 to avoid bankruptcy, Cineplex reduced its debt by selling off some of its recently purchased assets. Darbinsky also took legal action to win back access to major releases. Son after this time he also purchased the Odeon chain so that he would be able to bid for early runs of movies. This gave Cineplex a major position in the industry. Through Darthbinsky’s relentless tactics Cineplex Odeon was the second largest motion picture chain with 1,800 screens in over 500 locations. Now that Darthinsky owned one of North America’s major theater chains he sought to change the movie going experience by changing the layout and atmosphere of the theaters to attract even more moviegoers. Drabinsky endeavored to use the size of his chain to obtain added clout with film studious and distributors. Drabinsky had no plans to slow his companies’ rapid pace of expansion and he extended Cineplex Odeon’s production...

Words: 1059 - Pages: 5

Premium Essay

Marketing@21st Century

...have to spend more and more on marketing budget to develop&launch new products. • Number of competitors may have declined, but number of brands have immensely increased. • Product life cycles have been dramatically shortened. • It s cheaper to replace than to repair. • Digital technology has provoked a revolution in many markets. • Behavior-based segmentation and lifestyle various shift in connection to the change of fast moving trends with products diffusion and consumer information from click society. CHANGES OVER THE CENTURIES th st 20 CENTURY 21 CENTURY CREATIVITY CREATIVITY+ TALENT (gut/curiosity) CASE STUDY Finding New Idea &Opportunity through Creativity and Innovation Case Study1: Major Cineplex& Major Bowl A huge waste of popcorn at Major Cineplex got brought to K.Kritsanan s attention. Normally after popcorn s made, it ll last 6 hours before it gets stale – that left a hugh amount of left-over to be thrown away. He went on the site and made an observation. Then found an opportunity to rid the waste and generate new revenue. The outcome: Left-over popcorn was given away free of charge, and treated as complimentary for customers at Major Bowl. A bowl of popcorn s placed at a table so anyone can have it. After having popcorn, customers got dehydrated and would order beverage. Because of a large profit margin of drinks, selling beverage alone generated great revenue in return. Going Against the Norm to Create New Trend&New Lifestyle Case Study2: Consumer segmentation:...

Words: 487 - Pages: 2

Premium Essay

Letter

...Dear Mam/Sir Our Company, Widescope Media and Entertainment Network is an integrated media and entertainment company, involved in the design, creation, production, distribution & marketing of all forms of creative content and related aspects, across all media platforms. The company comes with a sheer passion to excel – Passion, which is moulded with an astute sense of proficiency and professionalism - just the right mix which ignites as the shining beacon lighting the path for great success journey for us and our clients.                                  The company operates in almost every segment of the media & entertainment industry viz films, television, home entertainment, animation, digital and new media. Our dedicated team of professionals has hundreds of man-years in this ever evolving industry which is fuelled with innovation and resourcefulness.The world of media and entertainment is dynamic, challenging and constantly evolving. Instep with this ever changing landscape, Widecsope renders a range of media services. The world of media and entertainment is dynamic, challenging and constantly evolving. Instep with this ever changing landscape, Widecsope renders a range of media services. Widescope has always been keen to associate itself with social movements and programmes that cater to the burning issues of today’s times, just like ..........(organisations name). Being a youth organization ................. (organisations name) has catered to the pressing issues...

Words: 321 - Pages: 2

Free Essay

Research Paper

...It has a reach of more than 45 million viewers in India. This is the only channel that connects you to the whole world not after the event happens, but on the time of incidents happen, so this is the only channel that lives you and connects you to the whole world. Not only the news, this also entertains the public by showing varities of show. this is the only channel of India that remains indians connected not only with the news but also with some other knowledgeable things and with the entertainment world also. Aaj Tak is the world class broad caster of News that provides not only the Indians but also the foreigners its services by warming up the people through its hot and live news. Aaj Tak gives information to public about each and every field ie. News regarding each and every field. Therefore Aaj Tak is the Perfect and Upto date News Channel. Aaj Tak's wide array of news programming includes daily new bulletins on "Aaj Subaha" and "10tak," politics, sports, business, entertainment, international coverage and much more. Aaj Tak delivers the latest news in a viewer friendly language – as and when it happens. Besides the unrivalled bulletin coverage, Aaj Tak has also pioneered feature-based programming within the news genre with leading shows such as Seedhi Baat, Cinema, Khel and Jurm. It reaches to people in remote villages too, where this channel is hugely popular because of the channel`s India centric programming. It is a free to air channel in India and is being...

Words: 330 - Pages: 2

Premium Essay

Mass Media

...Evelyn Widjaja Ms. Webster Expository Composition Period 2 7 April 2011 Mass Media The concept of media has expanded throughout society, whether to being on the newspaper, television, radio and the internet (Robyn 1). The main purpose of mass media in our society is to provide information, entertainment and advertisement (http://saching.com/Article/The-Positive-and-Negative-Effects-of-Media/873). I will discuss the influence that mass media has for the public and some evidence that will help support the statement “People are more influenced by mass media that they think” (Alexander & Janice 1). Technology has attracted people to engage in mass media, it has brought out easy ways of communication and provided us to make contact with people from different places (Robson 1). Mass media does not corrupt us but it gives the information clearly and steadily (Robyn 1). We need to add to these different types of media as in a way that can help us in life ( Levine 9). Our everyday style is showered with advertisement, more like information and other sorts of different type of mass media (Robyn 2). For instance the newspaper is an incredible influence tool in the society, they can easily turn on people emotions in favor or against an issue sometimes (Robyn 2). This is because we as readers tend to believe everything that is written in the newspaper even though it might be the wrong information (Robyn 2). Due to the technological purposes, we have achieved a step where...

Words: 610 - Pages: 3

Free Essay

Research Proposal

...carrying guns in school, increasing the possibility of someone being shot. The appetite effect shows that children exposed to a lot of media violence would want to see more of this kind of media. Simply put, the more one watches, the more wants to watch. While bystander effect explains that children who watched too much violent entertainment habituate to gradually increasing, amounts of violence, in other words they are becoming more callous, desensitized, and less sympathetic to the victims of violence, whether in media or in real life. And last, children who have aggressor effect shows that children tend to become more violent, meaner and more aggressive once they are exposed to a lot of media violence. In general, males get more affected in the, appetite, bystander and the aggressor effect while females get more affected in the victim effect only. But the author said that it is still unclear how to exactly predict any given individual will be affected by any given media violence presentation. Boniol, 1998, the increase of rape cases of children and harassment in the streets of India are one of the results of media violence. Major sources of entertainment in India are films, and television programs....

Words: 665 - Pages: 3

Premium Essay

Ficci Report

...three day global meet that covers the entire Media and Entertainment industry like Films, Broadcast (TV & Radio), Digital Entertainment, Animation, Gaming, Visual Effects, etc. Thousands of Delegates across the world were expected to attend this event from Media and Entertainment. This is the platform for the media & entertainment professionals to network and develop themselves in the industry. Frames originally, started in the year 2000 and had evolved as a great forum to discuss emerging media and India’s role in this. Apart from networking, it delivers thought provoking speeches and inspiring comments from various media experts. Frames 2012 has started from 14th March, 2012 with the inauguration ceremony hosted by the famous Bollywood Director & Producer Karan Johar. Also the ceremony was followed by the Lighting of the Lamp, Keynotes and Inaugural notes by the Bollywood actor Sonam Kapoor; Hon’ble Chief Minister of Maharashtra, Prithviraj Chavan; Chairman of MPAA, Senator Chris Dodd; CEO of Star India & Chairman of FICCI Broadcast Forum, Uday Shankar. The launch of the FICCI-KPMG Report and FICCI Amarchand Lawbook was also the part of the inaugural ceremony. The discussions on the Day 1 was all about the Digitization, India- Japan Partnerships in Animation, Marketing and Distribution of Films, Upcoming challenges for the Print Medium, Business Connection in Online World, Financing the Media and Entertainment and Protecting copyrights, Infringements and Remakes...

Words: 591 - Pages: 3

Free Essay

Budget Plan

...Equipment Labor Volunteers Service Charge Delivery Charge Misc. Charges Total FOOD & BEVERAGE PERSONNEL/ STAFF Event Coordinator Designer Show/ Event Staff Host(s)/ Hostess(es) Registration Consultants Public Relations Additional Staff Overtime Security Event Photographer Event Videographer Volunteers Other Set-up/Break-down Crew Total PERSONNEL/ STAFF Estimated Actual Estimated EMERGENCY CONSIDERATIONS Estimated Actual Total Estimated Actual RENTALS Tables Chairs Linens/ Napkins/ Chair Covers Glassware China Utensils Pipe & Drape Carpeting/ Flooring Staging (Skirting/ Stairs) Risers Dance Floor Tents/ Canopies Stanchions/ Ropes Props Furniture Labor Lighting Delivery Charge Other Total RENTALS ENTERTAINMENT Music Talent Speaker's Fee(s) Labor Other Total ENTERTAINMENT Estimated Actual Actual Medical/ Ambulance Canopies/ Tents/ Coverings Rain Plan Cost Other Total EMERGENCY CONSIDERATIONS Estimated DÉCOR SUPPLIES vent Stage Stage Backdrop Table Décor/Centerpieces Flowers/ Plants Candles/ Balloons Signage Props Labor Delivery Charge Other Actual AUDIO-VISUAL TV Monitors/ Screens Cameras Disc (Video) Recorders/ Players Estimated Actual Overhead Projectors/ Carts Slide/ Film Lectern/ Podium Sound System Microphones(Lav, Podium, etc) Technical Staff Labor Delivery Charge Other Total...

Words: 359 - Pages: 2

Free Essay

Product Placements in Lady Gaga’s “Telephone” Music Video

...brands, including Virgin Mobile, Monster Heartbeats by Lady Gaga headphones, Hewlett Packard laptop, Polaroid, Diet Coke, Wonder Bread, Miracle Whip, and dating site PlentyOfFish.com. Although the frequency of product placement in this music video has been to a ridiculous level, the way that brands listed above are inserted into each scene is quite coherent. For example, Gaga steals the Virgin cellphone to contact Beyoncé to bail her out of jail. Food brands like Miracle Whip and Wonder Bread feature in the kitchen scene. The production placement in “Telephone” is interesting and worth studying since it shows viewers that the boundaries between entertainment and advertising have been blurred because of pop culture phenomena and that these two industries’ purposes are getting intertwined. “Telephone” represents the anxiety of entertainment industry about costs to make videos and promotions, which hence causes the artists to...

Words: 505 - Pages: 3

Free Essay

The Road Analysis

...Response to “The Road” In our class for our final, we watched the Movie “The Road” after reading the novel in class. Most of the times a film version of a book is either a hit or miss with the audience. A lot of times readers think the film spoils the image they had created in their mind while reading, but other times the film will exceed your expectations and be very good. In this essay I will explain whether or not I liked the film, what parts I thought were very similar to the book, and which parts helped me understand the story more clearly. First of all, I liked the film version of “The Road” a lot better than I liked the novel. The film was much easier to follow. While reading the book, I found it hard to follow along because of the unique writing style that McCarthy used. This style made it hard for me to focus, and made me become easily distracted. The film version, however, was much better. It was filmed in a traditional manner, which made it much easier to follow along. The main difference I saw was the language usage. In the novel, the man and the boy talked in weird, abrupt sentences. This was one of the main reasons it was hard to follow. In the film, they spoke in more normal English, and that made it easier to follow along, and kept my attention better than the book did. The film also did a very good job of showing the action sequences. While the film could have been filmed in a boring manner, they did a good job of bringing the story to life and producing...

Words: 727 - Pages: 3

Free Essay

Ethics

...administrative agency which controls the regulation. Explain why this agency and your proposed regulation interests you (of briefly). Will this proposed regulation affect you or the business in which you are working? If so, how? The Georgia Department of Regulation- I goes to the casinos with friends occasional and I one of my friend owns few gas stations that have coin-operated amusement machines. This is affecting my friend due to the fact Department of Revenue is refusing to issue businesses licensed for the operation of coin-operated amusement machines in his place of business. 2. Describe the proposal/change. (10 points) The proposed regulation would authorize all gas stations the ability to apply for amusement and entertainment license while looking for more ways to gain revenue. With the state looking to bring three casinos here that would bring nearly $1 billion by 2014. Independent small business should have that opportunity as well. 3. Write the public comment that you would submit to this proposal. If the proposed regulation deadline has already passed, write the comment you would have submitted. Explain briefly what you wish to accomplish with your comment. (10 points) My comment is that if gas station or convenience wants to entertain local patronage adding amusement game and payout cash at...

Words: 321 - Pages: 2

Premium Essay

Psy 322 Week 4 Environmental and Consumer Influences Analysis Paper

...country. Such elements include societies perceptions, and attitudes, but also an individual’s age, personality, family upbringing, and social class. What a society sees as value ultimately drives its behavior, and its possible to find these elements taking hold in the life of the individual in simple forms. What must society have, and what does society really need? Such questions placed into a survey would bring primary analysis to a marketing team that seeks to sell its product to the population. Only imaginable is the idea that whatever the product; every household should have at least one. Home entertainment, and its seemingly never-ending innovation in product development falls to such a marketing venture. Does the average household need, or does it want television, Internet, and a form of communication? History demonstrates a time when none of these forms of entertainment existed, yet the average household today is filled with such devises as phones, computers, and television sets. Even so, today’s society is an information driven monster that feeds on such input devises from many forums....

Words: 1084 - Pages: 5

Free Essay

Personal Media Inventory Paper

...Personal Media Inventory Paper Nicole Manso COM 400 July 8, 2013 Lisa Smith Personal Media Inventory Paper Here on planet Earth we receive information and entertainment in a variety of ways through the media which includes the following: internet, television, radio, magazines and news paper. Both day one and day two, of my Personal Media Inventory, first begin with checking my Facebook account, like that of many adults in their 20’s,which is a social media site that provides both entertaining information regarding your personal friends and famous entertainers, along with news information updates. The internet is at the tips of our fingers because of cell phones which allow us to receive information and entertainment with a touch of a button. Then after I am finished getting ready for work get into my car and listen to the morning talk shows on the radio. They are both entertaining and informative in the sense that the cover topics of pure entrainment and topics that relate issues going on in the world with further discussion to reach different types of age groups. Each day between 11:00 and 11:30 am I take my lunch and check Twitter and Facebook for any news and social media updates. On day one Facebook lead me to a Huffington Post link about a news article that I found to be informative and interesting. That is another great thing about social media, having Facebook friends and following people with common interests on Twitters allows for myself to have the ability to...

Words: 1081 - Pages: 5